What Is the Inventory and Appraisal in California Probate?

After a California personal representative receives Letters and begins administering an estate, one of the next major court requirements is preparing the Inventory and Appraisal.

The primary Judicial Council forms are:

DE-160 — Inventory and Appraisal

and

DE-161 — Inventory and Appraisal Attachment

The Inventory and Appraisal tells the probate court:

• What property belongs to the probate estate
• How each asset is described
• Which assets the personal representative values
• Which assets the probate referee values
• The fair market value of each asset as of the decedent's date of death
• The total appraised value of the probate estate reported on that filing

For estates containing real property, the Inventory and Appraisal is particularly important because the probate referee generally determines the property's date-of-death appraisal value.

That value serves a different purpose from the current market value used when deciding how much a house should sell for months later.

Quick Answer: What Is a California Probate Inventory and Appraisal?

California Probate Code section 8800 requires the personal representative to file an inventory of the property being administered in the estate together with an appraisal of that property.

The inventory and appraisal are combined into a single filing.

California Probate Code section 8800 generally requires the filing within:

Four months after Letters are first issued to a general personal representative.

The court can allow additional time when reasonable under the circumstances.

The Inventory and Appraisal generally uses:

• DE-160 as the primary form
• DE-161 for detailed asset schedules or additional space

Why Does the Probate Court Need an Inventory?

The court needs a reliable record of the probate assets being administered.

The Inventory and Appraisal helps establish:

• What entered the probate estate
• Approximate estate value
• The value of individual estate assets
• The value of real property
• The value of investments and other non-cash property
• A starting point for later accounting
• Information relevant to administration and distribution

The Inventory and Appraisal also provides heirs, beneficiaries, the personal representative, and the court with a clearer picture of the estate.

When Is the Inventory and Appraisal Due?

California Probate Code section 8800 provides the primary deadline.

The personal representative generally must file the Inventory and Appraisal:

Within four months after Letters are first issued.

The four-month period begins from the issuance of Letters—not from:

• The date of death
• The date DE-111 was filed
• The first probate hearing
• The date the will was located
• The date the house is sold

The date Letters first issued is therefore an important probate deadline date.

Can the Court Give More Time?

Yes.

Probate Code section 8800 allows the court to give additional time when reasonable under the circumstances of the particular case.

The representative should not simply ignore the deadline.

When additional time is needed, the representative should work with the probate attorney concerning the proper procedure.

Can the Personal Representative File a Partial Inventory?

Potentially.

Probate Code section 8800 allows partial inventories and appraisals when appropriate.

However, the statute generally requires all inventories and appraisals to be filed within the time allowed.

Partial filings can sometimes help when:

• Some assets are known
• Additional records are still being obtained
• A complex asset requires additional valuation work
• Another legitimate administration issue delays completion

The probate attorney can determine whether a partial filing is appropriate.

What Property Goes on the Inventory and Appraisal?

The Inventory and Appraisal generally reports property that is being administered as part of the probate estate.

Examples can include:

• Houses
• Vacant land
• Rental properties
• Bank accounts
• Cash
• Stocks
• Bonds
• Brokerage accounts
• Vehicles
• Business interests
• Jewelry
• Collectibles
• Valuable household property
• Promissory notes
• Other probate assets

Not every asset connected with the decedent necessarily belongs on the probate Inventory and Appraisal.

Property that transfers outside probate may follow a different process.

What Property Might Pass Outside Probate?

Depending on ownership and beneficiary arrangements, assets may potentially pass outside formal probate through:

• Living trust
• Joint tenancy
• Community property with right of survivorship
• Transfer-on-death deed
• Payable-on-death account
• Transfer-on-death account
• Life insurance beneficiary designation
• Retirement-account beneficiary designation
• Other non-probate transfer methods

Ownership should be confirmed before assuming an asset belongs to the probate estate.

For more information, see: Does Every Estate Have to Go Through Probate in California?

What Value Goes on the Inventory?

California Probate Code section 8802 requires each item to be separately listed and assigned its:

Fair market value at the time of the decedent's death.

That date is important.

The Inventory and Appraisal is generally not asking what the asset is worth today.

The court generally needs the fair market value as of the date of death.

Date-of-Death Value vs. Current Market Value

These two values can be very different.

Suppose a homeowner died on:

January 15

At that time, the house had a fair market value of:

$750,000

Probate takes several months.

By September, the local real estate market has improved and the home may now sell for:

$800,000

The probate Inventory and Appraisal may still reflect the January 15 date-of-death value of approximately $750,000.

The current real estate market may support an $800,000 sale.

Those numbers serve different purposes.

Does the Probate Referee Set the Listing Price?

No.

This is one of the most important distinctions for families selling probate real estate.

The probate referee generally appraises estate real property for probate purposes using the applicable valuation date.

The real estate market determines what buyers may be willing to pay when the property is actually offered for sale.

Factors affecting current market value can include:

• Changes in market conditions
• Interest rates
• Inventory
• Property condition
• Repairs
• Deferred maintenance
• Buyer demand
• Location
• Comparable sales
• Time that has passed since death

For more information, see: How Is a Probate House Valued in California?

What Is a Probate Referee?

A probate referee is a state-appointed appraisal professional who values property for probate and certain other legal proceedings.

The California State Controller appoints probate referees.

Probate referees can value many types of property, including:

• Real estate
• Stocks
• Bonds
• Business interests
• Vehicles
• Jewelry
• Collectibles
• Promissory notes
• Other non-cash assets

The probate referee provides an independent valuation for assets that the personal representative is not authorized to value personally.

Who Chooses the Probate Referee?

California Probate Code section 8902 refers to the probate referee designated by the court.

The personal representative must deliver the inventory and necessary supporting information to that referee for assets requiring referee appraisal.

Local court procedures can vary.

The representative and probate attorney should confirm:

• Which referee has been designated
• How the referee wants information submitted
• What supporting documents are required
• Whether additional information is needed for particular assets

Does Every Probate Estate Need a Probate Referee?

Many formal probate estates require probate-referee appraisal because the estate contains assets that the personal representative cannot appraise personally.

California Probate Code section 8903 does allow a court to waive appraisal by a probate referee for good cause through a specific petition procedure.

A waiver is therefore not automatic.

The California State Controller also explains that probate referees are generally required in probate matters unless a court approves a waiver for good cause.

What Does the Personal Representative Appraise?

DE-160 separates estate assets into different categories.

The instructions provide that the personal representative generally lists and appraises specified monetary assets on Attachment 1.

Examples can include:

• Money
• Currency
• Cash items
• Bank accounts
• Amounts on deposit with financial institutions
• Certain lump-sum insurance proceeds payable to the estate
• Certain lump-sum retirement-plan proceeds payable to the estate

The exact treatment depends on the asset.

What Does the Probate Referee Appraise?

Assets not valued by the personal representative generally go on Attachment 2 for appraisal by the probate referee.

Examples may include:

• Real estate
• Stocks and securities
• Business interests
• Vehicles
• Valuable personal property
• Jewelry
• Collectibles
• Promissory notes
• Other non-cash property

Probate Code section 8902 provides that the probate referee appraises the property other than property appraised by the personal representative.

What Is DE-161?

DE-161 — Inventory and Appraisal Attachment provides the detailed asset schedule used with DE-160.

The form gives additional space to identify estate property and values.

Each asset should be described clearly enough for the court and probate referee to identify the property.

Descriptions can include information such as:

• Account institution
• Account identification
• Property address
• Legal description
• Vehicle information
• Number of shares
• Business ownership percentage
• Other identifying information

Sensitive account information should be handled according to court requirements and legal advice.

How Is Real Property Listed?

Real property needs to be clearly identified.

Information can include:

• Property address
• Legal description
• Ownership interest
• County
• Parcel information when appropriate
• Character of ownership

The Inventory should report the decedent's actual interest in the property rather than automatically assuming the decedent owned 100%.

For example, the decedent may have owned:

• 100% as separate property
• A one-half community-property interest
• A fractional tenancy-in-common interest
• Another legally defined interest

The deed and title history should be reviewed carefully.

Why Ownership Percentage Matters

Suppose a decedent owned only a 50% interest in a property.

The probate estate may be administering that ownership interest rather than 100% of the entire property.

The property description and appraisal should reflect the legal interest being administered.

This can be especially important with:

• Family-owned properties
• Rental properties
• Rural acreage
• Partnerships
• Tenancy-in-common ownership

The probate attorney and referee should review unclear ownership questions.

Does the Probate Referee Visit the House?

A physical interior inspection is not necessarily required in every probate appraisal.

The probate referee determines what information is necessary to complete the appraisal.

The referee may rely on sources such as:

• Public records
• Property information
• Comparable sales
• Photographs
• Property-condition information
• Information supplied by the personal representative
• Other valuation data

The referee can request additional information when needed.

The representative should provide accurate information about major condition issues that could materially affect value.

Should the Executor Tell the Probate Referee About Property Condition?

Yes.

The referee should receive material information needed to make a reasonable valuation.

Examples might include:

• Major fire damage
• Severe deferred maintenance
• Structural problems
• Uninhabitable condition
• Failed septic system
• Well problems
• Significant water damage
• Major code issues
• Demolition condition

A severely distressed house should not automatically be valued as though the property were fully renovated.

Documentation can be useful.

What If the House Is a Major Fixer?

For a major fixer, useful supporting information may include:

• Photographs
• Inspection reports
• Contractor estimates
• Pest reports
• Roof reports
• Structural information
• Comparable fixer sales
• Other relevant condition information

The probate referee—not the real estate agent—determines the official probate appraisal.

A knowledgeable real estate professional can still provide market information that helps explain the property's condition and comparable market activity.

How Long Does the Probate Referee Have?

The California State Controller's Probate Referee Guide explains that after receiving the Inventory, a probate referee generally is expected to complete the appraisal within 60 days or report the reason for delay.

That does not mean the estate should wait until the end of the four-month Inventory deadline before sending information to the referee.

Early coordination can help prevent unnecessary delays.

How Much Does a Probate Referee Cost?

The California State Controller explains that the statutory probate referee commission for required appraisals is generally based on the value of assets appraised by the referee.

The Controller's guidance describes a commission of:

One-tenth of one percent, or 0.1%, of the assets appraised by the referee

plus allowable expenses, subject to applicable statutory rules and minimums.

For example, using the basic 0.1% calculation:

Property appraised at $500,000:

Approximate referee commission = $500

Property appraised at $800,000:

Approximate referee commission = $800

Additional allowable expenses may apply.

The representative should confirm current fees with the designated probate referee and applicable law.

Is the Probate Referee Fee an Estate Expense?

The probate referee's authorized commission and expenses are generally costs of estate administration.

The representative should maintain documentation of those charges for the estate accounting.

What Happens After the Referee Completes the Appraisal?

The probate referee completes the referee-appraised portion of the Inventory and Appraisal.

The completed document can then be filed with the probate court.

The filing provides the court with:

• Inventory of reported probate assets
• Personal-representative values
• Probate-referee values
• Total reported appraisal

The personal representative should keep a copy for estate records.

Can Heirs See the Inventory and Appraisal?

The Inventory and Appraisal becomes part of the probate court proceeding when filed.

Interested persons can also have rights concerning notice.

Probate Code section 8803 requires the personal representative to provide a copy of a filed Inventory and Appraisal to persons who properly requested special notice under applicable law.

For more information, see: What Rights Do Heirs and Beneficiaries Have in California Probate?

What If an Asset Is Discovered Later?

Finding additional property after filing the original Inventory and Appraisal is not unusual.

Examples can include:

• Forgotten bank account
• Old stock certificate
• Refund
• Mineral interest
• Undisclosed parcel
• Business interest
• Promissory note
• Unclaimed property
• Additional vehicle
• Valuable collectible

California Probate Code section 8801 requires a supplemental Inventory and Appraisal when the personal representative later learns of property that should be administered but was not included in a previous inventory.

How Long Do You Have to File a Supplemental Inventory?

Probate Code section 8801 generally requires the supplemental Inventory and Appraisal within:

Four months after the personal representative acquires knowledge of the additional property.

The court may allow additional time when reasonable under the circumstances.

Is a Supplemental Inventory a Sign Something Was Done Wrong?

Not necessarily.

Assets can legitimately be discovered after the original filing.

For example:

An executor may discover an old investment account months later.

A tax document may reveal previously unknown income-producing property.

A title search may uncover a fractional land interest.

The important point is to disclose newly discovered probate assets properly rather than ignoring them.

What If the Executor Fails to File the Inventory?

Failure to file can become serious.

California Probate Code section 8804 provides remedies when a personal representative refuses or negligently fails to file an Inventory and Appraisal within the permitted time.

Upon petition by an interested person, the court may:

• Compel the representative to file the Inventory and Appraisal
• Remove the personal representative
• Impose personal liability for resulting injury to the estate or an interested person
• Potentially award attorney fees as part of resulting damages

The Inventory and Appraisal should therefore be treated as a significant fiduciary responsibility.

What If the Executor Simply Needs More Time?

Needing more time is different from ignoring the requirement.

Probate Code section 8800 allows the court to grant additional time when reasonable under the circumstances.

The representative should communicate with the probate attorney before the deadline rather than allowing the deadline to pass without action.

Can the Probate House Be Sold Before the Inventory and Appraisal Is Filed?

The answer depends on the circumstances, authority granted, and applicable sale procedure.

The Inventory and Appraisal deadline and the authority to sell real property are related probate issues, but they are not identical.

A personal representative should not assume either:

• The house can never be sold before the Inventory and Appraisal is filed, or
• The appraisal can simply be ignored because the house has already been sold.

If a sale is being considered before the Inventory and Appraisal is complete, the representative should coordinate closely with the probate attorney.

Limited Authority and court-confirmed sales can involve additional appraisal requirements.

What If the House Was Already Sold Before the Probate Referee Completed the Appraisal?

A sale does not automatically eliminate the estate's Inventory and Appraisal obligations.

The estate still may need to report the property and establish the required probate valuation.

The personal representative should notify the probate attorney and probate referee and provide available information concerning:

• Property
• Date of death
• Condition
• Sale
• Comparable market evidence
• Escrow information
• Other relevant documentation

The probate attorney should determine the correct procedural treatment for the particular estate.

Is the Probate Appraisal the Same as the Sales Appraisal?

No.

Several different valuations can exist during a probate sale.

Probate referee appraisal

Generally establishes probate value as of the required valuation date, commonly the date of death.

Current market analysis

Estimates what buyers may pay in the current market.

Lender appraisal

A buyer's lender may order an appraisal for financing.

Independent appraisal

The estate or an heir may obtain another professional appraisal for a specific purpose.

These valuations can legitimately produce different numbers because they may use different valuation dates and serve different purposes.

Why Can the Sale Price Be Higher Than the Probate Appraisal?

Market conditions can change between the date of death and the sale.

Other reasons can include:

• Multiple offers
• Repairs
• Improved presentation
• Strong demand
• Low inventory
• Neighborhood appreciation
• Different comparable sales

Example:

Date-of-death probate appraisal:

$725,000

Current sale price eight months later:

$775,000

That difference does not automatically mean the probate appraisal was wrong.

The valuations may simply reflect two different dates.

Why Can the Sale Price Be Lower?

The opposite can also occur.

Possible reasons include:

• Falling market
• Newly discovered defects
• Fire damage
• Deferred maintenance
• Occupancy problems
• Financing restrictions
• Septic or well problems
• Insurance problems
• Significant repair costs

A current sale should be evaluated based on present market conditions and the applicable probate-sale requirements.

Does the Inventory and Appraisal Determine Executor Compensation?

The values reported in the Inventory and Appraisal can be relevant to calculation of statutory personal representative compensation.

California's statutory compensation calculation generally considers the appraised value of estate property along with specified receipts, gains, and losses.

For a complete explanation, see: How Much Does an Executor Get Paid in California Probate—and When?

Does the Inventory and Appraisal Determine What Heirs Receive?

Not by itself.

The Inventory and Appraisal identifies and values estate assets.

What heirs ultimately receive depends on the entire probate administration.

That can include:

• Will
• Intestate succession
• Creditor claims
• Taxes
• Administration expenses
• Property sales
• Gains or losses
• Executor compensation
• Attorney compensation
• Other court orders
• Final accounting
• Final distribution

An estate appraised at $1 million does not necessarily distribute $1 million to beneficiaries.

What About Mortgages?

The appraised value of real property and the mortgage balance are separate concepts.

Example:

House value: $800,000

Mortgage: $350,000

Approximate gross equity:

$450,000

The Inventory and Appraisal may report the property's applicable appraised value, while the estate accounting separately addresses the mortgage obligation.

Families should not confuse:

property value

with

net estate equity

Why This Matters for Probate Real Estate

When a probate house is the largest estate asset, several numbers can exist at the same time:

• Probate referee value
• Mortgage balance
• Current market value
• Expected sale price
• Repair costs
• Carrying costs
• Expected net proceeds

Each number answers a different question.

A strong probate real estate strategy should keep those numbers separate.

Frank's Real Estate Perspective

For probate real estate, I view the Inventory and Appraisal as an important court valuation document, but not automatically the final answer to:

"What should we list the house for today?"

Suppose the probate referee values a home at:

$700,000

as of the date of death.

Eight months later, current comparable sales support:

$760,000–$780,000

The listing strategy should consider the current market.

The opposite can happen too.

If market conditions decline or major defects are discovered, current value may be lower than the date-of-death appraisal.

Before recommending a probate listing price, I want to understand:

1. Probate referee value
2. Valuation date
3. Current comparable sales
4. Property condition
5. Repairs needed
6. Mortgage balance
7. Monthly carrying costs
8. Full or Limited Authority
9. Current buyer demand
10. Expected net proceeds

The probate appraisal is an important piece of the analysis.

The appraisal should not automatically replace current market evidence.

Practical Example: Probate Referee Value vs. Current Value

Assume a homeowner dies on January 10.

The home is in Loomis.

The probate referee determines a date-of-death value of:

$850,000

Seven months later:

• A nearby comparable sells for $900,000
• Inventory is lower
• Buyer demand has improved
• The probate property is in similar condition

A current market analysis may support:

$895,000–$915,000

The estate does not necessarily need to list the home at $850,000 simply because $850,000 appears on DE-160.

The probate attorney and personal representative still need to follow the applicable probate-sale requirements.

Practical Example: Major Fixer

Assume a Sacramento probate property would be worth:

$600,000

in renovated condition.

The house needs approximately:

$125,000

of major work.

Comparable fixer sales suggest a current as-is value near:

$425,000

The probate referee should receive accurate information regarding the property's actual condition as of the applicable valuation date.

A renovated-home value should not automatically be used for a severely distressed property.

Practical Example: Newly Discovered Bank Account

Assume the executor files the original Inventory and Appraisal.

Three months later, a tax document reveals an unknown savings account containing:

$42,000

The account was not included in the original filing.

The representative should tell the probate attorney and include the asset in a supplemental Inventory and Appraisal as required.

Probate Code section 8801 generally gives the representative four months after learning of the property to file the supplemental inventory.

Inventory and Appraisal Checklist

After Letters issue, the personal representative should consider:

• Record the date Letters first issued
• Calendar the four-month Inventory and Appraisal deadline
• Identify all probate assets
• Review deeds and ownership
• Obtain bank statements
• Obtain brokerage statements
• Identify vehicles
• Identify business interests
• Identify valuable personal property
• Confirm the court-designated probate referee
• Prepare DE-160
• Prepare DE-161 attachments
• Separate personal-representative-appraised assets from referee-appraised assets
• Provide supporting information to the referee
• Provide accurate real estate condition information
• Review the completed appraisal
• File the Inventory and Appraisal
• Keep a copy for estate records
• Provide copies when special notice requires
• Continue looking for additional estate assets
• File supplemental inventories when necessary

Common Inventory and Appraisal Mistakes

Missing the four-month deadline

The deadline generally runs from issuance of Letters.

Using today's value instead of date-of-death value

Probate Code section 8802 calls for fair market value at the time of death.

Leaving out estate assets

The Inventory should include property being administered in the probate estate.

Including non-probate assets incorrectly

Ownership and beneficiary designations should be reviewed first.

Failing to identify ownership percentage

The estate may own only a fractional interest.

Giving the referee incomplete property information

Major defects can affect valuation.

Assuming the probate appraisal determines listing price

Current market value can differ from date-of-death value.

Failing to file a supplemental inventory

Newly discovered estate property must be addressed.

Assuming a completed property sale eliminates the appraisal requirement

Sale and Inventory/Appraisal requirements are separate probate issues.

Frequently Asked Questions

What is DE-160?

DE-160 is California's Inventory and Appraisal form. The form tells the probate court what property is being administered in the estate and the approximate appraised value.

What is DE-161?

DE-161 is the Inventory and Appraisal Attachment, used to provide detailed asset information with DE-160.

When is the Inventory and Appraisal due?

Probate Code section 8800 generally requires filing within four months after Letters are first issued to the general personal representative.

Is the deadline four months after death?

No. The statutory deadline generally runs from the date Letters are first issued.

What value is used?

Probate Code section 8802 generally requires fair market value as of the decedent's date of death.

Who appraises the cash?

The personal representative generally appraises specified monetary assets listed on Attachment 1 according to DE-160 instructions.

Who appraises the house?

Estate real property is generally appraised by the probate referee.

What is a probate referee?

A probate referee is a California State Controller-appointed appraisal professional who values qualifying estate property for probate purposes.

Who designates the probate referee?

Probate Code section 8902 refers to the probate referee designated by the court.

Does the probate referee set the listing price?

No. The referee establishes a probate appraisal value. Current market conditions should be considered separately when establishing a listing strategy.

Can the probate appraisal and sales price be different?

Yes. The appraisal and sale may occur on different dates under different market conditions.

Can you file more than one Inventory and Appraisal?

Partial inventories can be allowed, and supplemental inventories are required when additional estate property is discovered later.

What is a supplemental Inventory and Appraisal?

A supplemental Inventory and Appraisal reports probate property discovered after a prior Inventory and Appraisal was filed.

When is a supplemental inventory due?

Probate Code section 8801 generally requires filing within four months after the personal representative learns of the additional property.

What happens if the executor fails to file DE-160?

The court can potentially compel filing, remove the personal representative, or impose liability when statutory requirements for those remedies are met.

Can a house be sold before DE-160 is filed?

The answer depends on the representative's authority and sale procedure. The representative should coordinate with the probate attorney rather than assuming either that a sale is prohibited or that the Inventory requirement can be ignored.

What if the property was sold before the probate referee appraised the house?

The estate may still have Inventory and Appraisal obligations. The representative should promptly coordinate with the probate attorney and probate referee.

Does the Inventory and Appraisal tell heirs how much they will inherit?

No. Final inheritance depends on debts, expenses, taxes, sales, gains or losses, compensation, and the final court-approved distribution.

Related Probate Court Process Guides

How Do You Start Probate in California? Filing the Petition for Probate

What Happens at the First Probate Hearing in California?

What Are Letters Testamentary and Letters of Administration in California?

This is Article #4 in the Probate Court Process series.

Upcoming guides will cover:

• How Do Creditor Claims Work in California Probate?
• What Is a Probate Status Report in California—and Why Is It Required?
• How Does Final Accounting and Distribution Work in California Probate?
• California Probate Court Forms Explained

Related Probate Real Estate Guides

How Is a Probate House Valued in California?

Selling a Probate House With Full vs. Limited Authority in California

Does a Probate Sale Require Court Confirmation in California?

Who Pays Property Taxes, Insurance and Expenses During Probate?

Related Executors & Heirs Guides

What Does an Executor or Administrator Do in California Probate?

How Much Does an Executor Get Paid in California Probate—and When?

Inventory and Appraisal in Sacramento, Placer and El Dorado Counties

The California Inventory and Appraisal rules apply statewide.

Local courts may still have different procedures for:

• Probate referee designation
• Filing
• Local probate review
• Supplemental filings
• Court questions concerning appraisals

I work with probate real estate involving estates in:

• Sacramento County
• Placer County
• El Dorado County

Real estate valuation can become particularly important with:

• Sacramento suburban homes
• Roseville and Rocklin homes
• Granite Bay luxury property
• Loomis and Penryn acreage
• Newcastle rural property
• Auburn homes and land
• El Dorado County rural estates

The probate referee establishes the required probate value.

My real estate role is to help the personal representative understand the current real estate market value and sale strategy when the estate plans to sell.